Van ECK Associates Corp Makes New Investment in Hormel Foods Co. (NYSE:HRL)

Van ECK Associates Corp bought a new stake in shares of Hormel Foods Co. (NYSE:HRL) during the 4th quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 529,548 shares of the company’s stock, valued at approximately $16,612,000. Van ECK Associates Corp owned 0.10% of Hormel Foods as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds and other institutional investors also recently made changes to their positions in HRL. WCM Investment Management LLC raised its holdings in Hormel Foods by 43.1% in the 4th quarter. WCM Investment Management LLC now owns 10,215 shares of the company’s stock worth $319,000 after purchasing an additional 3,075 shares in the last quarter. Vest Financial LLC lifted its holdings in Hormel Foods by 17.0% in the fourth quarter. Vest Financial LLC now owns 1,825,660 shares of the company’s stock worth $57,271,000 after buying an additional 264,813 shares during the period. Global X Japan Co. Ltd. boosted its position in Hormel Foods by 25.0% during the 4th quarter. Global X Japan Co. Ltd. now owns 16,732 shares of the company’s stock valued at $525,000 after acquiring an additional 3,343 shares in the last quarter. Sumitomo Mitsui DS Asset Management Company Ltd grew its holdings in shares of Hormel Foods by 2.2% during the 4th quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 39,291 shares of the company’s stock worth $1,233,000 after acquiring an additional 849 shares during the period. Finally, Sumitomo Mitsui Trust Group Inc. raised its position in shares of Hormel Foods by 13.6% in the 4th quarter. Sumitomo Mitsui Trust Group Inc. now owns 929,871 shares of the company’s stock worth $29,170,000 after acquiring an additional 111,454 shares in the last quarter. Institutional investors own 40.99% of the company’s stock.

Analyst Upgrades and Downgrades

HRL has been the topic of several recent research reports. BNP Paribas initiated coverage on Hormel Foods in a research note on Monday, October 21st. They issued an “underperform” rating and a $28.00 price target on the stock. Citigroup decreased their price target on shares of Hormel Foods from $36.00 to $35.00 and set a “buy” rating for the company in a research note on Tuesday, November 19th. Finally, Barclays raised shares of Hormel Foods from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, January 22nd. Two investment analysts have rated the stock with a sell rating, two have given a hold rating, one has given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $31.17.

Insider Activity at Hormel Foods

In related news, VP Steven J. Lykken bought 4,904 shares of the stock in a transaction on Friday, December 6th. The shares were acquired at an average price of $32.47 per share, for a total transaction of $159,232.88. Following the purchase, the vice president now owns 7,100 shares of the company’s stock, valued at approximately $230,537. The trade was a 223.32 % increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. 0.72% of the stock is currently owned by insiders.

Hormel Foods Price Performance

HRL opened at $28.47 on Friday. Hormel Foods Co. has a 1 year low of $28.27 and a 1 year high of $36.86. The stock has a 50-day moving average price of $30.75 and a 200-day moving average price of $31.27. The firm has a market cap of $15.63 billion, a PE ratio of 19.50, a P/E/G ratio of 2.74 and a beta of 0.26. The company has a debt-to-equity ratio of 0.36, a current ratio of 2.32 and a quick ratio of 1.19.

Hormel Foods (NYSE:HRL) last issued its earnings results on Wednesday, December 4th. The company reported $0.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.01). The firm had revenue of $3.14 billion during the quarter, compared to the consensus estimate of $3.14 billion. Hormel Foods had a return on equity of 10.95% and a net margin of 6.75%. The company’s quarterly revenue was down 1.9% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.42 EPS. Sell-side analysts predict that Hormel Foods Co. will post 1.66 earnings per share for the current fiscal year.

Hormel Foods Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, February 18th. Stockholders of record on Monday, January 13th will be paid a $0.29 dividend. The ex-dividend date is Monday, January 13th. This represents a $1.16 annualized dividend and a dividend yield of 4.08%. This is a boost from Hormel Foods’s previous quarterly dividend of $0.28. Hormel Foods’s payout ratio is currently 79.45%.

Hormel Foods Profile

Hormel Foods Corporation develops, processes, and distributes various meat, nuts, and other food products to retail, foodservice, deli, and commercial customers in the United States and internationally. It operates through three segments: Retail, Foodservice, and International segments. The company provides various perishable products that include fresh meats, frozen items, refrigerated meal solutions, sausages, hams, guacamoles, and bacons; and shelf-stable products comprising canned luncheon meats, nut butters, snack nuts, chili, shelf-stable microwaveable meals, hash, stews, tortillas, salsas, tortilla chips, nutritional food supplements, and others.